The following upcoming changes in Belarus VAT regulations are applicable to electronic services provided by foreign companies to Belarusian end-users, effective from 1 January 2018.
A foreign company may become an e-VAT payer in Belarus, if:
- the foreign company provides e-Services to Belarusian end-users directly;
- the foreign company provides intermediary payment services to Belarusian end-users paying for e-Services.
A foreign company may be subject to e-VAT if it provides e-Services in the form of:
- licencing of software (incl. computer games), databases (incl. updates, additional functions provided), electronic books, information materials, graphic images, music, audiovisual works via Internet, as well as providing remote access for reviewing and/or listening via Internet;
- advertising services via Internet;
- services on placing sales offers via Internet;
- automated services for data search, selection, sorting and provision to users (incl. stock exchange reports) via Internet;
- search services and information on potential customers;
- services for provision of technical, organisational, information and other capacities with the use of information technologies and systems for establishing contacts and making deals between sellers and buyers (incl. provision of trading platforms in real-time mode);
- services for maintenance and support of Internet presence for personal goals or for commercial activity, support of users’ electronic resources (Internet sites, pages) and access to these with modification options, as well as information system administration services;
- information storage and processing if the person that provided information can access it via Internet;
- providing computing power in real-time mode for placing information in an information system;
- providing domain names and hosting services;
- providing access to search engines on the Internet;
- keeping statistics on Internet sites.
- e-VAT base – amounts received from providing e-Services.
- e-VAT rate – 20%.
- e-VAT amount due to pay in Belarus – calculated as the e-VAT base multiplied by the e-VAT rate.
- Registration subject – e-VAT payer.
- Registration authority – Ministry of Taxes and Duties Inspectorate of the City of Minsk.
- Registration starts – 1 January 2018.
- Registration form – recently released by the Ministry of Taxes and Duties for public discussion and comments (available in Russian only).
- Registration form submission:
- paper form signed and submitted by the authorised representative of a foreign company in Belarus;
- registered mail correspondence;
- electronic form signed with a digital signature by the authorised representative of a foreign company in Belarus; the digital signature key certificate must be issued by the competent state provider in Belarus.
- Payment period – quarterly, upon submission of e-VAT return.
- e-VAT return form – recently released by the Ministry of Taxes and Duties for public discussion and comment (available in Russian only).
- e-VAT return submission – in electronic form via personal taxpayer account which a foreign company becomes eligible to from the moment it is registered in Belarus for e-VAT purposes.